New Home Sales Surge 24% in June, Inventory at 42-Year Low (housing, banks)

[glenn_1000]

News Headlines (http://www.cnbc.com/id/38412228 - broken link)

Sales of new U.S. single-family homes rebounded strongly in June, driving the number of houses on the market to its lowest level in nearly 42 years.

The Commerce Department said on Monday sales jumped 23.6 percent to a 330,000 unit annual rate from a downwardly revised 267,000 units in May. The sales pace last month was still the second lowest since records started in 1963. The percentage increase was the largest increase since May 1980



So much for the tax credit expiration excuse. LOL.

[MikeyKid]

This is a joke post right?

Last month this category was the LOWEST IN HISTORY (EVER!)... lol

Keep chasing that bottom!

[middle-aged mom]

Thank you, Glenn.

[whathousingrecovery?]

Glenn, you cant be serious?

Let's see:

1. This "HolyBatman" surge was from the downwardly revised forecast.They rebounded from a record low that was revised lower. The so-called 'surge' in sales was only about 10,000 more than expected after the revision. YIPPEEE
2. Inventory is low because banks are still holding onto millions of REO's, and maybe because BUILDERS AREN"T BUILDING ANYMORE. LOL Also, there is a lag between building completion and actual close of the sale, hence lower inventory numbers. YIPPPEEEE
3. The sales pace in June was still the 2nd lowest since records started in 1963, and the worst June ever. YIPPEEEEEE.
4. We are selling 1/3 or less the number of homes we sold in 2006. YIPPEEEEE.
5. Year over Year.... sales are down 16.7%. YIPPPEEEEE
6. The margin of error from the numbers that were used in this report are an incredible +-15.3%... Nice spin Glenn.
7. Existing home inventory increased 2.5% in the past month to a whopping 4 million homes. Essentially, inventory went from 8 months of supply to almost 9 months of supply.

Existing Home Inventory

MOST RECENT STATISTIC: 3,992,000

06/10 05/10 04/10 06/09

Inventory (000s) 3,992 3,893 4,029 3,811

Months of Supply 8.9 8.3 8.4 9.4

Source: National Association of Realtors

Here is an article without the spin.

New Home Sales: Worse June On Record

http://www.calculatedriskblog.com/20...on-record.html

"Ignore all the month to previous month comparisons. May was revised down sharply and that makes the increase look significant. Here is the bottom line: this was the worst June for new home sales on record."



Yeah YIPPEEE Glenn, once again you have no clue what you are talking about.

[noah]

Count on the bears to jump on this. Do keep in mind that the new home market is a small % of overall homes for sale and builders are building less also. From the articles I saw today most were spun in favor of the bears and a few towards the bulls. The truth is that it was much better then expected by the analysts.

Further I think most people expect sales in the coming months will be better then May as the tax credit pushed forward sales from at least a few months, perhaps more. But better is relative and its certainly a buyers market and won't change much at all until unemployment and the way people feel about the future changes. Judging by this board that is a long ways off.

[whathousingrecovery?]

Noah,

It was the worst June ever on record, and sales were down 16.7% from year over year. This report was nothing but realtor spin at it's best. Dig deeper into the real numbers and the downward revisions, and you will see what a joke this report was.

Someone hold MIKEYKID back, he is probably rushing out the door to buy his house!! LOL. I like your posts Mikey Your usually spot on.

[MikeyKid]

Originally Posted by whathousingrecovery?

Noah,

It was the worst June ever on record, and sales were down 16.7% from year over year. This report was nothing but realtor spin at it's best. Dig deeper into the real numbers and the downward revisions, and you will see what a joke this report was.

Someone hold MIKEYKID back, he is probably rushing out the door to buy his house!! LOL. I like your posts Mikey Your usually spot on.

I'M IN CONTRACT! ... not lol

Yes, I tend to be one of the more vocal bears. heh I was honest in replying to glenn asking if it was a joke as he's been bullish since he started posting here. He's usually insisted that "numbers don't lie" and he's linked another mainstream media scam job doctoring stats.

It will be a steady stream of more mainstream "surge" articles I'm sure... Thankfully there's bloggers to help balance what we're given to eat.

[whathousingrecovery?]

Oh Glenn........ here's some more truth about the June new home sales report. YIPPPEEEE indeed.



U.S. Housing “Good News” Just Propaganda



Written by Jeff Nielson Monday, 26 July 2010 11:07



While the U.S. propaganda-machine (otherwise known as the “mainstream media”) is perpetually distorting facts with its blatant propaganda, it has arguably hit a new low with its reporting of June “new home sales”.Moderator cut: copyright issues